WHO is a Licensed Insolvency Trustee?
The person who can help you get out of debt!
A Licensed Insolvency Trustee is a professional that is federally regulated by the government of Canada to administer debt services and advice. This includes insolvency proceedings and credit counseling. They are called LITs for short.
LITs are regulated by the Office of the Superintendent of Bankruptcy according to the Bankruptcy and Insolvency Act. This act sets policies and procedures for LITs to protect you and your insolvency proceedings.
WHEN should I consult one?
If your debt is spiraling out of control you should speak with an LIT. There are a few markers that may signify that you need debt relief:
- You are receiving calls from creditors.
- Creditors have started legal action against you.
- Your wages are being garnished.
- A major life event has derailed your finances, for example, a divorce or medical issues.
- Your debts keep rising and you have no idea how to repay.
- Your debts have become overwhelming.
WHERE can I go to find one?
There are currently over 1000 LITs across Canada. Finding one or more in your area will be fairly easy but which one do you choose?
Since finance is such a personal thing and insolvency proceedings take a bit of time, you will want to find someone you feel comfortable with.
When choosing an LIT:
- Start with thorough background research. Check their reviews and online reputation.
- Consider advice from friends and family who have had an LIT in the past.
- Have a phone call to ask any questions you may have.
- Meet in-person to see if it’s a fit.
WHAT do they do?
LITs are the only professionals in Canada with the authority to administer insolvency proceedings, these include:
- Personal bankruptcy
- Consumer proposals and
- Division one proposals
Beware of unlicensed debt professionals. They cannot provide insolvency services but they will still take your money to refer you to a LIT. So, it makes sense to avoid unnecessary risks and visit an LIT from the start.
HOW can they help me?
An LIT will advise you and guide you toward a fresh financial start.
When a debtor comes to an LIT for the first time they will take them through a number of steps.
- They will first ASSESS your financial situation to understand your debt thoroughly.
- Then they ANALYZE your situation to figure out what debt strategies may work for you.
- Once you have picked the solution that is best for you, your LIT will then plan out a STRATEGY to get you out of debt.
- Once the strategy is laid out your LIT will IMPLEMENT it.
- Lastly, your LIT will GUIDE your through your debt strategy from beginning to end.
An LIT’s main job is to help you find the best solution to your debt problems. They can provide you with the relief that you need to get a fresh start.
To meet with one of our LITs contact us today. We can get you started with a free and confidential consultation!